LTFRB Vs GV Florida
LTFRB Vs GV Florida
LTFRB Vs GV Florida
SECOND DIVISION
Promulgated:
G.V. FLORIDA TRANSPORT, INC.,
Respondent. 2
DECISION
PERALTA, J.:
On wellness leave.
Acting Chairperson, per Special Order No. 2445 dated June 16, 2017.
Penned by Associate Justice Franchito N. Diamante, with the concurrence of Associate Justices
Celia C. Librea-Leagogo and Melchor Q.C. Sadang; Annex "A" to Petition, rollo pp. 29-48.
cl
Decision -2- GR. No. 213088
Plate No. TXT-872. The mishap claimed the lives of fifteen (15) passengers
and injured thirty-two (32) others.
Thus, on the same day of the accident, herein petitioner, pursuant to its
regulatory powers, immediately issued an Order2 preventively suspending,
for a period not exceeding thirty (30) days, the operations of ten (10) buses
of Cue under its CPC Case No. 2007-0407, as well as respondent's entire
fleet of buses, consisting of two hundred and twenty-eight (228) units, under
its twenty-eight (28) CPCs. In the same Order, respondent and Cue were
likewise directed to comply with the following:
Subsequently, Dagupan Bus filed its Answer claiming that: it is not the
owner of the bus which was involved in the accident; the owner is G.V.
Florida; Dagupan Bus entered into a Memorandum of Agreement with G.V.
Florida, which, among others, facilitated the exchange of its CPC covering
the Cagayan route for the CPC of Florida covering the Bataan route; and the
subsequent registration of the subject bus in the name of Dagupan Bus is a
mere preparatory act on the part of G.V. Florida to substitute the old
authorized units of Dagupan Bus plying the Cagayan route which are being
operated under the abovementioned CPC which has been exchanged with
G. V. Florida.
On the other hand, Cue filed his Position Paper contending that:
License Plate No. TXT-872 was issued by the LTO to one among ten public
utility buses under CPC No. 2007-040i issued to him as operator of the
Mountain Province Cable Tours; the application for the extension of the
validity of the said CPC is pending with petitioner; the subject CPC,
together with all authorized units, had been sold to G.V. Florida in
September 2013; and thereafter, Cue completely ceded the operation and
maintenance of the subject buses in favor of G.R. Florida.
In its Position Paper, herein respondent alleged that: it, indeed, bought
Cue's CPC and the ten public utility buses operating under the said CPC,
including the one which bears License Plate No. TXT-872; since Cue's buses
4
In petitioner's preventive suspension order, it was indicated that, based on the initial investigation
and report of the DOTC-CAR, the engine and chassis numbers of the subject bus were I 00300120 and
RF82140667. However, records show that these numbers were not actually taken from the engine and
chassis of the bus but were simply copied from the markings appearing on its body. It appears that these
d
were the engine and chassis numbers of the bus which were not erased when it was rebuilt.
5
The buses registered under the said CPC were authorized to ply the route Sagada, Bontoc-Manila
and vice-versa.
Decision -4- G.R. No. 213088
were already old and dilapidated, and not wanting to stop its operations to
the detriment of the riding public, it replaced these buses with new units
using the License Plates attached to the old buses, pending approval by
petitioner of the sale and transfer of Cue's CPC in its favor; and it exercised
utmost good faith in deciding to dispatch the ill-fated bus notwithstanding
the absence of prior adequate compliance with the requirements that will
constitute its operation legal.
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I
Decision -5- G.R. No. 213088
SO ORDERED. 6 {/!
6
Rollo, pp. 63-72. (Emphasis in the original)
Decision -6- G.R. No. 213088
Respondent then filed with the CA a petition for certiorari under Rule
65 of the Rules of Court, with prayer for the issuance of a preliminary
mandatory injunction, assailing petitioner's above Decision.
SO ORDERED. 7
The main issue brought before this Court is whether or not petitioner
is justified in suspending respondent's 28 CPCs for a period of six (6)
months. In other words, is the suspension within the powers of the LTFRB to
impose and is it reasonable?
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9
Creating the Land Transportation Franchising and Regulatory Board, which was issued on J:J'/
19, 1987. {//"
Decision -8- GR. No. 213088
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10
In the assailed Decision of petitioner, it adopted the findings of the investigating police officers
that the cause of the accident was the malfunctioning of the brake system of the bus, coupled with driver's
eJTor; see ro/lo, p. 62.
It
Decision -9- G.R. No. 213088
The Court agrees with petitioner that its power to suspend the CPCs
issued to public utility vehicles depends on its assessment of the gravity of
the violation, the potential and actual harm to the public, and the policy
impact of its own actions. In this regard, the Court gives due deference to
petitioner's exercise of its sound administrative discretion in applying its
special knowledge, experience and expertise to resolve respondent's case.
Moreover, the Court finds the ruling in Rizal Light & Ice Co., Inc. v.
The Municipality of Morang, Rizal and The Public Service Commission, 13
instructive, to wit:
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d
13
134Phil.232(1968).
Decision - 10 - GR. No. 213088
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Petitioner's argument pales on the face of the fact that the very
nature of a certificate of public convenience is at cross purposes with the
concept of vested rights. To this day, the accepted view, at least insofar as
the State is concerned, is that "a certificate of public convenience
constitutes neither a franchise nor a contract, confers no property right, and
is a mere license or privilege." The holder of such certificate does not
acquire a property right in the route covered thereby. Nor does it confer
upon the holder any proprietary right or interest of franchise in the public
highways. Revocation of this certificate deprives him of no vested right.
Little reflection is necessary to show that the certificate of public
convenience is granted with so many strings attached. New and additional
burdens, alteration of the certificate, and even revocation or annulment
thereof is reserved to the State.
14
Rizal Light & Ice Co., Inc. '· The Mun;dpaUty of Marong, R;w/ and /he Pubhc ~
Commission, supra, at 248-249.
15
141 Phil. 108 (1969).
Decision - 11 - G.R. No. 213088
etc. R. Co. vs. Bristol, 151 U.S. 556, 571; Connecticut, etc.
R. Co. vs. Woodruff, 153 U.S. 689.).
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The foregoing, without more, rejects the vested rights theory espoused by
petitioning bus operators.
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construed to mean, and indeed it has been frequently used in its enlarged and
Plural sense ' as meaning "all ' " "all or every"
'
"each " "each one of all "
' '
"every" without limitation; indefinite number or quantity, an indeterminate
unit or number of units out of many or all, one or more as the case may be,
several, some. 17 Thus, in the same vein, the Merriam-Webster Dictionary
defines the word "any" as "one, some, or all indiscriminately of whatever
quantity"; "used to indicate a maximum or whole"; "unmeasured or
unlimited in amount, number, or extent." 18 Hence, under the above
definitions, petitioner undoubtedly wields authority, under the law, to
suspend not only one but all of respondent's CPCs if warranted, which is
proven to be the case here.
17
Gatchalian, etc. v. Commission on Elections, 146 Phil. 435, 442-443 ( 1970).
18
Webster's 3" New International Dictionary of the English Language, 1993 Copyright, p . ' { J i
Decision - 14 - G.R. No. 213088
SO ORDERED.
WE CONCUR:
On wellness leave
ANTONIO T. CARPIO
Associate Justice
Chairperson
'
Associate Justice
ATTESTATION
I attest that the conclusion in the above Decision had been reached in
consultation before the case was assigned to the writer of the opinion of the
Court's Division.
Associate ~ustice
Acting Chairperson, Second Division
Decision - 15 - GR. No. 213088
CERTIFICATION